Key Takeaways
- Excavator finance rates range from around 6.29% to 15% per annum.
- Finance available for mini (1–5t), compact (5–10t), standard (10–25t) and large (25t+) excavators.
- Low doc up to $500k — ABN and driver's licence (low doc) or ABN, licence and 6 months bank statements (lite doc) only.
- No blanket age restrictions on used excavators.
- Attachments (buckets, hammers, grabs) can often be bundled into the same finance.
Excavators are the most commonly financed heavy machine in Australia. Whether you're a civil contractor buying your first mini-excavator or a large earthmoving company upgrading a 40t machine, this guide covers current rates, how to get approved, and what to look for when structuring your finance.
How Excavator Finance Works
Run the numbers on your repayments
Use our finance calculator to estimate weekly or monthly repayments.
Excavator finance allows your business to acquire the machine without paying the full purchase price upfront. A lender funds the purchase and you repay over an agreed term (typically 12–84 months). The excavator serves as security. Overdrive Funding compares 80+ lenders to find the most competitive rate for your machine and business profile — at no cost to you.
Current Excavator Finance Rates
Excavator finance rates in Australia currently range from around 6.29% to 15% per annum. New machines from Caterpillar, Komatsu or Hitachi for established businesses with clean credit attract rates from around 6.29%. Used, high-hour or older excavators and new ABN applicants are priced higher. We compare 80+ lenders to identify the most competitive rate for your specific machine and situation.
Mini, Medium and Large Excavators
We finance all excavator sizes: mini excavators (1–5 tonne) for landscaping, drainage and tight-access residential work; compact midi excavators (5–10t) for the most common civil and excavation tasks; standard excavators (10–25t) for construction and road work; and large excavators (25t+) for major civil, mining and quarrying applications. Each size tier has slightly different lending dynamics — mini excavators are very liquid and easy to finance, large excavators require more thorough lender assessment.
New and Used Excavators
We finance new, demonstrator, ex-hire and used excavators with no blanket age restrictions. Each machine is assessed individually based on its hours, condition, service history and resale value. Ex-hire excavators from equipment rental companies are commonly financed — they're typically well-maintained with documented service records and represent good value.
Maximum Asset Age
There is no fixed maximum age for excavator finance. However, very old machines (typically 15+ years) may carry higher rates or require a larger deposit, as lenders are more cautious about residual value risk. Late-model used excavators (3–8 years old) are the sweet spot — strong demand, documented history and supported by most lenders on our panel.
Low Doc and No-Financials Options
Low doc excavator finance is available up to $500k with just your ABN and driver's licence — no bank statements, no tax returns, BAS or full financial accounts required. This is ideal for sole operators and small earthmoving businesses that may not maintain formal financial records but have healthy cash flow.
New ABN Applicants
Excavator finance is available from day one of ABN registration through specialist lenders. New ABN approval depends on the director's personal credit history, the machine being financed, the loan amount and any available deposit. Rates are higher for new ABNs but finance is genuinely accessible, particularly for smaller machines.
Deposits and 100% Finance
Zero-deposit excavator finance is available for eligible businesses with at least two years of GST registration and clean credit. For new ABNs or larger loan amounts, a deposit of 10–20% may be required. Trade-in proceeds from an existing machine can serve as a deposit equivalent.
Dealer, Private and Auction Purchases
Finance is available for excavators purchased from franchise dealers (Caterpillar, Komatsu, Hitachi, Volvo, Liebherr), independent dealers, private sellers and auction houses (Pickles, Ritchie Bros, Grays, Lloyds). Pre-approval before an auction is strongly recommended — contact us before auction day and we'll arrange your limit.
Excavators With Attachments
Attachments such as buckets (general purpose, rock, mud, skeleton), hydraulic hammers (breakers), grabs, augers, rippers and quick hitches can often be bundled into the same finance package as the excavator — simplifying your paperwork and consolidating repayments.
Loan Terms and Balloons
Excavator finance terms typically range from 12 to 84 months. A balloon payment defers a lump sum to the end of the term to reduce monthly repayments. We structure the balloon to align with the machine's expected resale value and your replacement cycle.
Chattel Mortgage Versus Lease
Chattel mortgage is the most common structure for excavators — you own the machine from day one, claim GST upfront and depreciate at tax time. Finance lease is an alternative for off-balance-sheet treatment, with lease payments fully deductible. The right structure depends on your tax position and how you want the asset to appear on your balance sheet.
Approval Requirements
For a low doc application (up to $500k): active ABN and driver's licence only — no bank statements, tax returns or BAS required. Lite doc adds 6 months of bank statements for income verification. Full doc applications (over $500k) may also require BAS, tax returns and financial accounts. You'll also need details of the excavator (make, model, year, serial number, hours and price). Most low doc applications receive a decision within 24–48 hours.
Popular Excavator Brands We Finance
- Caterpillar (Cat) — 300, 307, 308, 315, 320, 323, 325, 336 and larger
- Komatsu — PC35, PC88, PC130, PC200, PC300 and larger
- Hitachi — ZX50, ZX85, ZX130, ZX200, ZX300 and larger
- Volvo — ECR25, EC55, EC140, EC220, EC300 and larger
- Liebherr — R914, R920, R922, R926 and larger
- Doosan — DX55, DX85, DX140, DX225, DX300 and larger
- Hyundai — HX55, HX85, HX140, HX220, HX300 and larger
- JCB — JS80, JS130, JS205, JS290 and larger
- Takeuchi — TB240, TB260, TB285 and larger
- Yanmar and Kubota — compact mini excavators
Repayment Examples
$80,000
$200,000
$400,000
$750,000
| Loan Amount | Rate | Term | Est. Monthly Repayment |
|---|---|---|---|
| $80,000 | 7.49% | 5 years | $~1,606 |
| $200,000 | 7.99% | 5 years | $~4,066 |
| $400,000 | 8.49% | 5 years | $~8,236 |
| $750,000 | 9.49% | 7 years | $~12,124 |
2026 Rate Environment
Excavator finance rates are fixed at settlement — they are not linked to the RBA cash rate (currently 4.35% as of August 2026). Unlike variable business overdrafts or home loans, fixed machinery finance rates don't change when the RBA moves. Your repayments are locked in for the full loan term, giving your earthmoving business stable, predictable cash flow.
Low Doc vs Lite Doc vs Full Doc
Low Doc
Lite Doc
Full Doc
| Doc Type | What You Provide | Loan Limit | Best For |
|---|---|---|---|
| Low Doc | ABN + driver's licence only | Up to $500k | Established operators, fast approvals |
| Lite Doc | ABN + licence + 6 months bank statements | Up to $500k | Income verification, newer ABNs |
| Full Doc | Tax returns, BAS, full financials | Above $500k | Largest loans, sharpest rates |
Tips to Improve Your Approval Chances
- Have the excavator's details ready: make, model, year, serial number, hours, service history.
- Get pre-approval before attending an auction — locks in your limit for 90 days.
- Choose popular brands (Cat, Komatsu, Hitachi) — strong resale supports better terms.
- A deposit of 10–20% significantly improves approval odds for new ABNs and older machines.
- A recent inspection report or service record strengthens your application for high-hour units.
Ready to Compare Excavator Finance Rates?
- Call Simon Kendrick on 1300 001 420 or submit an online enquiry.
- We compare 80+ lenders — free, no credit score impact to enquire.
